How does RFID work?

How does RFID work?


RFID (Radio Frequency Identification) refers to a set of tools that work using radio frequencies. Broadly, it can be divided into transmitters (such as tags) and readers that allow access to information.

This technology began its development during World War II for military purposes, but its use in retail and logistics gained importance at the start of the century. However, it is recently becoming a high-value resource for large stores and warehouses, its use is expected to grow in the coming years.


You may be interested: RFID and the future of logistics processes


How does it work?


Four elements are needed to integrate this technology: an RFID tag, an antenna, an RFID reader, and software. As an additional tool, some sites (especially retail stores) add RFID reader arcs.

The RFID tag is the part attached to the products and functions as a regular tag, with the difference that it contains a microchip inside, which stores the information previously programmed during the manufacture of the labels.

There are two types of RFID tags, active and passive.
Passive: These tags do not have their own power supply; their signal is activated near an RFID reader. As a result, the range is reduced to a few centimeters or a couple of meters, its application will be appropriate for goods that can be scanned and tracked inside a store.

Active: They have a battery that powers all the electronics, so they have a stronger radio signal, which can reach more than ten meters even when there are elements that can interfere with the signal. Its use is ideal in the logistics environment, as the information it contains will be highly accurate, even when the tag is inside a pallet or vehicle.

The RFID antenna works as an intermediary between the tag and the reader, enabling the communication of both components. Thanks to this element, the transmission of signals and information are achieved. There are distinct types of antennas that are better suited for specific needs, such as pallet scanning; in large or small spaces; diversity of height between the products; or others specialized for moving items.


The RFID reader is a device that sends signals to detect the presence of an RFID tag, by doing so it captures all its information instantly. RFID readers can be used in all kinds of circumstances, using handheld readers for scanning a specific area to implement RFID arches or portals that extract all the information from the tags that pass through them.

A highly effective way to estimate the potential of RFID technology is by comparing it to barcodes; they work through a single image that displays specific information to a reader, with the disadvantage of requiring a direct line of sight between the tag and the reader. 

On the other hand, an RFID reader works using radio frequencies, and communication with the tag takes place within an area that does not require that line of sight, allowing many items to be scanned in a matter of seconds.


Finally, the software will make use of the information extracted from each tag, which can update stock in real-time, much more precise control of the position and movements during the supply chain, and even the prevention of goods theft.


Advantages of RFID technology:

  • Instant information: Each label is programmed with specific information, when read, all the data is obtained immediately.
  • Inventory management optimization: Keep track of each asset or product that moves in your warehouse in real time.
  • Fewer errors: Scanning is automatic and accurate, eliminating human error when working with hundreds of items.
  • Security: With the use of RFID portals, the unauthorized exit of merchandise can be immediately warned, preventing the theft of products.
  • Improved shopping experience: RFID technology supports automatic payment, helping the customer reduce their waiting time to complete their purchase.


RFID technology applications


Logistics: It can optimize the entire supply chain, minimizing errors and ensuring an accurate and immediate update of the items circulating in and out of the warehouses. It even enables the customer to remotely access a record of the movements of their merchandise, adding value to the overall process.


Pharmaceuticals: Allows manufacturers and customers greater control over their products in circulation by providing information about the batch, place of origin, current location, and essential data such as expiration dates.

Electronic: Facilitates the tracking of products in store, as well as the prevention of theft of said items. This technology also enables manufacturers to obtain precise statistics to create demand forecasts.

Textiles: RFID tags facilitate the organization of these types of products, speeding up inventory classification processes. Currently, several stores are integrating this technology into clothing and accessories to prevent product theft.

If you still have questions about how RFID technology works and how you can integrate it into your company to benefit all your processes, we invite you to contact us to start integrating these tools in your own company.

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